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A leading Irish supermarket has confirmed it will pay all staff the so-called ‘living-wage’ of €11.70 an hour.

German supermarket retailer Aldi has the new minimum rate of pay for its Irish staff.

The rate of pay matches the living wage rate recommended by the Living Wage Technical Group, and makes Aldi the first supermarket in Ireland to commit to paying staff the Living Wage Technical Group’s €11.70 rate.

The new rate comes into effect on February 1 2018 and represents a 20c increase on the entry-level pay for Aldi store assistants, stock assistants and caretakers.

“Without their hard work and dedication day in, day out, we would be unable to provide customers with the lowest grocery prices in Ireland. We are committed to offering the best pay and benefits in the industry and will continue to do so”.

A spokesperson for Tesco Ireland said it pays staff in Irish stores an average of €14.31 an hour. In addition Tesco said that it 2017 was the fifth year in a row that it had given staff a 2pc pay rise.

“We are the only retailer to offer additional benefits including; a pension scheme, a privilege card giving a 10pc discount on purchases, bonuses, discounted health insurance and a save as you earn scheme allowing share purchase,” Tesco Ireland said.

The spokesperson went on to confirm that all Tesco Ireland employees were receiving more than the minimum wage.

Today’s announcement follows a period of significant sustained sales growth and store expansion for Aldi.

The supermarket chain, which has now captured 11.2pc of Ireland’s grocery market, is currently engaged in a three year €100m new store opening programme, while also investing €60m in revamping and refurbishing its existing stores nationwide, introducing its “Project Fresh” design and layout.

Earlier this week it was announced that Aldi enjoyed record sales during the Christmas period, racking up £10bn (€11bn) in sales in its Irish and UK markets.